Benefits Managers to be busy since DOMA declared unconstitutional

The Supreme Court of the United States (SCOTUS) announced a couple of decisions that will impact HR departments in many states. The major decision that attracted the most press was that a part of the Defense of Marriage Act (DOMA) was declared unconstitutional. As a result benefits managers nationwide will be busy.

Section 3

The part of DOMA that was declared unconstitutional was section 3 which had passed into law the non-recognition of same-sex marriages for all federal purposes, including insurance benefits for government employees, Social Security survivors’ benefits, immigration, and the filing of joint tax returns. The SCOTUS decision did not deal with Section 2 which gave states the right to determine the legality of same-sex marriages. According to an alert by Seyfarth Shaw “The Justices writing the majority opinion made clear that the opinion and its holding are confined to lawful same-sex marriages in those states that recognize them.”

A long list

The list of areas that will be impacted by the SCOTUS decision is a long one. Over 100 Federal benefits will be altered as a result. Employers need to understand the impact of this change, within the guidelines of their states, in the following:

Changes in defined benefit plan designations of “spouse;”

Changes in designations of beneficiaries that are not the spouse;

Changes in the hardship withdrawals definitions in 401(k) plans;

Changes in Qualified Domestic Relations Orders (QDROs);

Tax changes related to “spouse” definition;

ACA changes and COBRA changes;

Changes in pre-tax elections;

Changes in FSA definitions.

These are just some of the changes that each company will have to determine based upon their state laws and their plan definitions. Every company should seek counsel from their attorney about their particular situation.

Paving the way?

In a January post entitled A Legislation Prediction- ENDA I said “Based on several of different indicators I feel that the Employment Non-discrimination Act (ENDA) will have a chance to pass. Not a great chance, but better than any other employment legislation in 2013.” Well the declaration of SCOTUS on DOMA is one more indicator that ways favorably in direction of this legislation passing. I don’t think it will pass in 2013 but it may receive some favorable activity in early 2014. Stepped up activity on the part of the EEOC in prosecuting discrimination cases based on LGBT discrimination, even without the benefit of the law, also indicates a move in the direction of the law being enacted.

Guidance on DOMA

I read a number of good articles written by law firms that I want to point you to for further guidance. This is going to be a complex issue that will require some further clarification by the courts or lawmakers before the dust is settled. The articles include:

Omega HR Solutions, Inc. uses creative human resource solutions to provide answers to time, money and service issues with employers and their employees. Visit our Products and Services page for more information or contact us to learn how we can help your organization.

Heya are using Wordpress for your site platform?
I’m new to the blog world but I’m trying to get started
and set up my own. Do you require any coding knowledge to make your own blog?
Any help would be really appreciated!

Featured Time and Attendance Sponsor

Search Our Blog Here

About Mike Haberman

I have been in human resources for over 30 years, both as a practitioner and consultant. I am known as "THE HR COMPLIANCE GUY" and as an HR Futurist. I was named an "Influencer" to IBM's New Way to Work panel.

I co-founded Omega HR Solutions in late 2000, beginning operations January 2001. I am a senior HR consultant. I am also an instructor at the University of Georgia School for Professional Education teaching human resources management. Additionally, I present numerous webinars on a monthly basis.

My blog has been published over 10 years and I write for two other sites as well, Workology (formerly Blogging4Jobs) and eSkill. I have been a certified Senior Professional in Human Resources (SPHR) for over 20 years and I have been certified as SHRM-SCP from day one.

With my background, knowledge and experience I help guide companies through compliance issues today and help them prepare for the world of work tomorrow.

Certified Web Based Training

Upcoming ComplyArena HR Webinars

Mike's HR Webinar Schedule With ComplyArena:

Please follow the links and register for your seat today while they are available.

New webinars will be posted as soon as they are scheduled. Go to ComplyArena.com to find out more.

Upcoming Compliance World HR Webinars

Mike's HR Webinar Schedule With Compliance World:

Please follow the links and register for your seat today while they are available.

New webinars will be posted as soon as they are scheduled. Go to Compliance.world to find out more.

Upcoming TrainHR Webinars

Mike's HR Webinar Schedule With TrainHR:

July 18 1 pm Preventing mistakes in age discrimination.

Please follow the links and register for your seat today while they are available.

New webinars will be posted as soon as they are scheduled. Follow the link below to review past webinars as well as to see ones in the making. Go to www.TraninHR.com. to find out more.

HR Certification Opportunities

The next certification class I will be teaching will be:

September 2017

Information available at
http://www.georgiacenter.uga.edu/
courses/human-resources/

If you are in the Atlanta area and would like to explore certification as a Human Resources Professional check out these programs at UGA.